TowerNorth Development, LLC. v. City of Geneva
1:22-cv-04151
| N.D. Ill. | Mar 31, 2025Background
- TowerNorth and Verizon sued the City of Geneva, Illinois after the City denied their application to build a 100-foot cell tower (disguised as a monopine) on the Oscar Swan property, claiming a significant service gap in the area.
- Plaintiffs alleged TCA violations under four counts: unreasonable delay, lack of substantial evidence, effective prohibition of service (47 U.S.C. § 332(c)(7)(B)(i)(II)), and preemption (47 U.S.C. § 253(a)).
- The court previously dismissed the delay claim, granted summary judgment for the City on the "substantial evidence" count, and sent the "effective prohibition" and preemption claims to an evidentiary hearing.
- After Loper Bright overruled Chevron deference, the City argued for application of the more deferential Seventh Circuit test instead of the FCC’s “materially inhibits” standard for effective prohibition claims.
- Plaintiffs showed that alternative sites were explored but ultimately did not pursue a technically feasible and comparably priced site (Dempsey 2) in Geneva.
- The evidentiary hearing resolved disputed facts, with the court ultimately finding for the City on both the effective prohibition and preemption claims.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Was City’s denial an “effective prohibition” under TCA? | City’s denial materially inhibits wireless service under FCC’s 2018 “materially inhibits” standard. | Denial did not meet even the more deferential pre-Loper Bright VoiceStream test; alternatives not exhausted. | No effective prohibition; denial did not materially inhibit service. |
| Which legal standard applies after Loper Bright? | FCC’s "materially inhibits" standard is binding under the Hobbs Act, despite end of Chevron. | Chevron is gone; courts should apply VoiceStream’s more locality-friendly test. | FCC standard is binding; “materially inhibits” test applies. |
| Did city zoning regulations violate Section 253(a)? | The ban on special uses in PUD, combined with permit requirement, effectively prohibits service. | The code allows for application/variance; denial does not rise to a prohibition. | No violation; zoning regulations do not materially inhibit service. |
| Right to relief under Section 253(a) preemption? | Plaintiffs have standing and a right to seek equitable preemption under the Supremacy Clause. | No private right of action or standing for this type of preemption claim. | Court assumes right exists but finds no factual basis for relief. |
Key Cases Cited
- VoiceStream Minneapolis, Inc. v. St. Croix Cnty., 342 F.3d 818 (7th Cir. 2003) (establishes the pre-FCC, highly deferential standard for effective prohibition claims in this circuit)
- City of Arlington v. FCC, 569 U.S. 290 (2013) (affirms the duty to defer to FCC interpretations under Chevron, which was relevant prior to Loper Bright)
- Nat’l Cable & Telecomms. Ass’n v. Brand X Internet Servs., 545 U.S. 967 (2005) (permits agency interpretations to supersede prior circuit precedent under Chevron, referenced pre-Loper Bright)
- Omnipoint Holdings, Inc. v. City of Cranston, 586 F.3d 38 (1st Cir. 2009) (localities retain significant though bounded zoning power over telecommunications facilities)
- Town of Amherst, N.H. v. Omnipoint Comm’cns. Enters., 173 F.3d 9 (1st Cir. 1999) (describes balance of local zoning authority vs. carrier needs under the TCA)
